Companies have long term plans to invest in data centers

A new survey conducted by CoreNet Global and Newmark Knight Frank shows that despite increases in cloud computing, 50% of companies are investing and planning over the long term to build or expand data centers that they manage as a corporate entity. (Apple opened a 500,000-square-foot data center in Maiden, N.C., earlier this year.)

The survey pointed out that companies are most concerned with risk management and business continuity when deciding where to locate their data centers. One result is a preference for most companies to maintain management of data center operations internally, and not to outsource the function.

Nearly two-thirds (62%) of executives surveyed from 30 multinational corporations emphasize the selection of low-risk areas for their data center sites. A majority of the respondents (52%) also identified redundant power sources as a key location decision factor, along with access to high-speed fiber optic networks (57%).

The two primary drivers for opening data centers are lack of existing capacity (48%) and company growth (47%). The joint survey points out the still-relatively low adoption of LEED-certified facilities and outsourced operations. For example, only 5% rate LEED-certified centers as a top criterion for data center site selection. Yet a strong majority (57%) thinks LEED-certified owned or leased data centers are important in terms of future occupancy.

At the same time, very few companies (6%) currently outsource their entire data center computing to the “Cloud.” Nearly one-fourth (24%) don’t use the Cloud at all. Conversely, nearly three-fourths (71%) say their companies outsource at least some of their data center computing to the Cloud. Almost one-third (29%), however, expressed a willingness to use outsourced partners to handle future data center requirements.